UJJIVAN

Background: Ujjivan launched the first of its pilot programs in November 2005 in Bangalore.  Located in Karnataka, Bangalore has an estimated population of 6.5 million people, of which the urban poor comprise approximately 35 percent, or about 2 million people. The total potential market in Bangalore therefore is estimated to be around 500,000 borrowers. Ujjivan's market size will grow tremendously as it expands into other cities.

Leadership: Ujjivan is led by CEO Samit Ghosh.

We are proud to formally join the Unitus family, having been involved with them for some time. We are at a stage when our business is ready to take off, and with this investment we have the financial and strategic support to grow Ujjivan so we can reach more of India's poor.

Product offerings and clientele: Ujjivan's product offering is mixed and will target both salaried and self-employed urban, poor women. Four loan products were launched by May 2007 based on the Grameen group lending methodology: microcredit loans for both the self-employed micro-entrepreneur, as well as loans to the employed (initially 85 percent of total loan portfolio); and loans to self-help groups (initially 15 percent of total loan portfolio). Additionally, Ujjivan plans to add loan products targeted at salaried garment worker and vendors. Ujjivan's strategy is to create a broad range of microfinance products, including consumptive loan products, which are not commonly seen in the microfinance industry in India.

Highlights and growth strategy: Currently operating out of Bangalore, Ujjivan aims to roll out operations to one new city every 6 months until they achieve scale on a national level. As the organization expands, it may move beyond its original urban focus to include India's rural poor as well.